Speaking in Jakarta at the Global Cash Management 2026 conference, Murmu described India’s experience as a cash paradox. Payment apps are increasingly used for small everyday purchases, yet people continue keeping currency for other purposes. Digital adoption has therefore not stopped the overall growth of cash.

The dependence is particularly strong among rural and semi-urban residents, poorer households and older people. Smaller businesses also need currency to run their operations. For these users, the convenience and reassurance offered by physical money have not been fully matched by digital alternatives.

India has roughly 176 billion notes circulating. Annual production ranges from 28 billion to 30 billion fresh notes, while around 21 billion soiled notes are taken out each year. Through its Clean Note Policy, the RBI replaces unsuitable currency, with note quality and security helping maintain public trust.

Domestic control over currency production has also increased. The RBI and the Indian government control most facilities producing banknote paper, printing currency and making ink. This limits overseas dependence while supporting security and cost efficiency. However, changing payment habits complicate demand forecasting. The RBI is exploring longer-lasting currency, including polymer technology, and ways to lower environmental impacts from production and transportation.